IMF Working paper-Does Central Bank Capital Matter for Monetary Policy? -continued

February 28, 2012--Summary: Heavy foreign exchange intervention by central banks of emerging markets have lead to sizeable expansions of their balance sheets in recent years-accumulating foreign assets and non-money domestic liabilities (the latter due to sterilization operations).
With domestic liabilities being mostly of short-term maturity and denominated in local currency, movements in domestic monetary policy interest rates can have sizable effects on central bank's net worth. In this paper we examine empirically whether balance sheet considerations influence the conduct of monetary policy. Our methodology involves the estimation of interest rate rules for a sample of 41 countries and testing whether deviations from the rule can be explained by a measure of central bank financial strength. Our findings, using linear and nonlinear techniques, suggests that central bank financial strength can be a statistically significant factor explaining large negative interest rate deviations from "optimal" levels.

view IMF Working paper-Does Central Bank Capital Matter for Monetary Policy?

Source: IMF

Global ETP News
Bundesbank Says High-Frequency Trading Can Enhance Volatility
October 24, 2016--Findings support debate over tighter regulation, report shows
HFT makes up about 50% of trading in liquid U.S., E.U. markets
read more
Weekly Robotics News for Investors: October 15-21
October 21, 2016--BATTLE OF THE DRONES: Today's drone makers are fiercely competitive and all are re-jiggering their business plans to accommodate to DJI's dominance.
read more
Infographic-The Alternative Energy Sources of the Future
October 20, 2016--Despite the hype around the progress of renewable energy, many people don't realize that solar and wind have only made a tiny dent in the energy mix thus far.
read more
ROBO Global Q3 Review
October 20, 2016--SUMMARY
During the quarter, the ROBO Global Robotics & Automation Index celebrated its three-year anniversary.
read more
Harmonisation of critical OTC derivatives data elements (other than UTI and UPI)-second batch
October 19, 2016--The Committee on Payments and Market Infrastructures (CPMI) and the International Organization of Securities Commissions (IOSCO) have today published for public comment a consultative report on Harmonisation of critical OTC derivatives data elements (other than UTI and UPI)-second batch.
read more
ETFGI reports assets invested in ETFs/ETPs listed globally reached a new record
October 19, 2016--ETFGI, the leading independent research and consultancy firm on trends in the global ETF/ETP ecosystem, today reported assets invested in ETFs/ETPs listed globally reached a new record high US$3.408 trillion at the end of Q3 2016.
read more
European banks risk lagging Wall Street in blockchain race
October 19, 2016--The blockchain technology behind bitcoin was designed to do away with banks.
read more
Eleventh progress report on adoption of Basel III standards published by the Basel Committee
October 19, 2016--The Basel Committee on Banking Supervision has today issued the Eleventh progress report on adoption of the Basel regulatory framework.
read more
Clear Path Analysis Report: The evolution of factor investing
October 18, 2016--A quant heritage
Investors have long followed rules-based approaches to put together investment portfolios.
read more
ETF Securities Weekly Flows Analysis-Gold ETPs outflows after hawkish September FOMC minutes
October 17, 2016--Gold ETPs outflows after hawkish September FOMC minutes.
Investors continue to sell short GBP and buy long GBP ETCs as GBP seems to be making a floor.
read more
London gold market faces shake-up
October 17, 2016--Exchange operator to start daily futures contract based on London metal but traded in US.
read more
Bundesbank Disucssion paper-Financial shocks and inflation dynamics
October 17, 2016--1 Introduction
Despite a massive fall in demand during the Global Financial Crisis (GFC), the US economy experienced only a modest disin ation. Two prominent explanations for this "missing disinflation puzzle" have been proposed. First, in ation expectations were well anchored (Bernanke 2010, Yellen 2013), while the rise in energy prices prevented a fall in long-run in ation expectations (Coibon and Gorodnichenko 2015).
read more
DECPG Global Weekly-October 14, 2016
October 14, 2016--TAKING STOCK
U.S. weekly jobless claims at 42-year low; Federal Reserve released the minutes of its September meeting
Euro Area industrial production rebounded in August
Japan parliament passed additional fiscal stimulus
read more
Bats Reports Strong September Data, including 11.7% U.S. Options Market Share
October 14, 2016--Bats Global Markets, Inc. (Bats: BATS) today reported September data and highlights, including its second-best month on record for its U.S. options business, with 11.7% market share.
read more
Building minimum variance portfolios with low risk, low drawdowns and strong returns
October 13, 2016--In the wake of the global financial crisis, minimum variance equity strategies quickly gained traction by capturing the attention of a risk-aware and risk-averse investment community.
read more
Shaping the Global Agenda on Ageing: Meeting the Needs of Cognitive Decline
October 13, 2016--The world's older adult population-estimated to double to 2 billion by 2050-is a triumph of human development that will generate both economic growth and uncertainty in the decades to come.
read more
Hard targets to dump boardroom Trumps
October 12, 2016--Evidence is building that companies with diverse boards outperform those whose members are all male.
read more
Does a price war loom for ETF providers?
October 12, 2016--Some observers argue that the competitive nature of ETF fees means that more cuts beckon
read more
IMF Research Bulletin, September 2016
October 11, 2016--The IMF Research Bulletin, September 2016.
read more
Bond ETF volumes surge to record highs
October 11, 2016--Investors pile in more than $100bn this year, a rise of 24 per cent
read more
Harmonisation of critical OTC derivatives data elements (other than UTI and UPI)-second batch, consultative report issued by CPMI-IOSCO
October 11, 2016--The Committee on Payments and Market Infrastructures (CPMI) and the International Organization of Securities Commissions (IOSCO) have today published for public comment a consultative report on Harmonisation of critical OTC derivatives data elements (other than UTI and UPI)-second batch.
read more
WGC-Gold ETPs continue to see gains in September
October 11, 2016--At the end of September, total holdings in physically-backed gold exchange-traded products stood at 2,335.6t (75.1 moz), representing a 38.1t month-on-month increase. In value terms, total holdings were worth US$99.3bn, 3% higher than at the end of August.
read more
Policy paper: Women in Finance Charter
October 11, 2016--On 11 July, HM Treasury announced that 72 firms across the financial services sector have signed the Women in Finance Charter. Together these firms employ over 530,000 people in the UK, with headquarters in the UK, USA, Europe and Asia.
read more
Bond ETF volumes surge to record highs
October 10, 2016--Investors have piled more than $100bn into bond exchange traded funds so far this year, taking the global total to its highest ever level as fixed income investors adapt to a changing financial ecosystem.
read more
ETFS Outlook September 2016-The unintended consequences of QE
October 10, 2016--The greatest experiment in monetary policy history,quantitative easing (QE), has led to two primary benefits: liquidity and confidence. QE has also led to distortions in the investment world, with bond yields falling into negative territory for the first time in history.
read more
ETF Securities Weekly Flows Analysis- Investors see GBP bottom despite flash crash
October 10, 2016--Long GBP ETPs record the highest inflows in two years.
Investors maintain faith in the strength of the US Dollar, with ETP inflows the highest in four weeks.
read more
Investors, advisors 'miles apart' in return expectations
October 10, 2016--Study says advisors also fear new regs and some are planning to leave the industry
read more
Gold Rebounds From Worst Week in Years on ETF Bargain Hunting
October 10, 2016--Holdings of gold-backed ETFs rise to highest level since 2013
Goldman sees buying opportunity at prices below $1,250
read more
Liquidity Illusion Burns Traders Blindsided by Pound's Crash
October 9, 2016--BofA warns 'phantom liquidity' vanishing in times of stress
Sterling tumbled 6.1% in a matter of minutes on Oct. 7
read more
LUV Your Stock: Study Shows That Ticker Symbols Matter
October 9, 2016--Stocks benefit from the "likability" and even the pronounceability of a ticker symbol
Can an interesting stock symbol move markets?
read more
EDHEC-Risk Institute study highlights the added value of active allocation to smart beta indices
October 8, 2016--EDHEC-Risk Institute study highlights the added value of active allocation to smart beta indices
In a new study entitled "Active Allocation to Smart Factor Indices", drawn from the eponymous Rothschild & Cie research chair, EDHEC-Risk provides a formal empirical analysis of the benefits of strategic and tactical allocation to multiple equity smart factor indices in a context where relative risk with respect to the cap-weighted indices needs to be explicitly controlled for.
read more
BlackRock's revenue dips as active investment weakens
October 8, 2016--Cuts to employee pay and benefits help asset manager lift operating margins
read more
BlackRock Global ETP Landscape-September 2016
Global ETPs gathered $30.5bn in September, continuing on record year-to-date pace, propelled by U.S. and Japanese equities and bolstered by emerging markets (EM) equities and debt and steady flows to corporate bonds.
read more
Saudi Arabia, Russia role 'critical in rebalancing oil markets'
October 7, 2016--Saudi-based economists see a crucial role for the Kingdom and Russia in rebalancing the energy markets as US oil prices rose above $50 a barrel in New York Thursday for the first time since June.
read more
Deutsche eyes asset management unit IPO
October 7, 2016--Deutsche Bank is mulling a public listing of its asset management division to strengthen its capital buffers,the Financial Times reported Friday, citing unnamed sources.
read more
Hang Seng Bank-4Q 2016 Investment Outlook
October 7, 2016--Highlight
The market focus in 4Q will be on Europe and the U.S. The key things to watch for include the U.S. Presidential Election, the FOMC meeting and the geopolitical and economic situation in Europe, especially the implementation of Brexit.
read more
Emerging Markets Well Prepared for Fed Rate Increase, Say Central Bankers
During IMF Panel Discussion
October 9, 2016--Thailand, others have built up currency reserves
Strong U.S. economy seen benefiting emerging markets
Flexible exchange rates help absorb external shocks
read more
International Monetary System Ill-Equipped to Handle Global Problems, Asian Economists Say
October 7, 2016--India's Subbarao recalls 'carnage in our external sector' in 2013
Japan's Sakakibara: 'secular stagnation' may have arrived
Need is seen for international monetary arbiter, bilateral swap lines
read more
DECPG Global Weekly-October 7, 2016
October 7, 2016--TAKING STOCK
U.S. economy added fewer non-farm jobs than expected in September
Euro Area PMI fell to 20-month low in September
read more
Countries Need Smart Policies to Benefit from Technology's Full Potential
October 6, 2016--Technology could bring significant growth to global economy in next decade
New education model needed to help workers adapt
Cultural, organizational changes have to keep pace with technological change
read more
Infographic-Black Swans: 9 Recent Events That Changed Finance Forever
October 5, 2016--Almost every market participant out there has at least one horrific war story on a crash that profoundly affected their portfolio or world view.
read more
IMF-Low Growth, Inflation Hamper Debt Reduction
October 5, 2016--Global debt at record highs, rising
Two-thirds represents private sector liabilities
Fiscal policy can help facilitate private sector deleveraging
Global debt, currently at an all-time high, could thwart the fragile economic recovery, the IMF said today in the latest Fiscal Monitor.
read more
Low Growth, Interest Rates Impact Financial Stability
October 5, 2016--Short-term risks have declined, medium-term risks building
Banks, regulators need to tackle structural challenges
Low interest rates help emerging market corporations shed debt
read more
Infographic-Commodity Update: Is the Summer Slump Over?
October 4, 2016--Last update, we triumphantly proclaimed that commodities were "back".
read more
S&P Global Equity Indices Monthly Update September 2016
October 4, 2016--The S&P Global Equity Indices Monthly Update September 2016 is available.
read more
WGC-Market Update: Price drop likely to spur demand
October 4, 2016--Gold remains a key portfolio component in this environment Following a remarkable performance year-to-date, the gold price fell by over 3% on 4 October, which we believe will likely result in physical buying
read more
IMF Sees Subdued Global Growth, Warns Economic Stagnation Could Fuel Protectionist Calls
October 4, 2016--Global growth subpar at 3.1 percent in 2016, with slight increase to 3.4 percent next year
Persistent stagnation in advanced economies could further fuel anti-trade sentiment, stifling growth
Countries need to rely on all policy levers-monetary, fiscal and structural-to lift growth prospects
read more
Inequalities exacerbate climate impacts on poor and vulnerable people-new UN report
October 3, 2016--Evidence is increasing that climate change is taking the largest toll on poor and vulnerable people, and these impacts are largely caused by inequalities that increase the risks from climate hazards, according to a new report launched by the United Nations today.
read more
Deutsche Bank braces for another pivotal week
October 3, 2016--Deutsche Bank is bracing for another pivotal week as the German giant negotiates with the US Department of Justice to talk down a $14bn fine.
read more
IMF Releases the 2016 Financial Access Survey, A Key Tool to Foster Financial Inclusion
October 3, 2016--The International Monetary Fund (IMF) released today the results of the seventh annual Financial Access Survey (FAS). The FAS is a key source of data on financial inclusion, providing insights on the availability and use of financial products such as deposit accounts, loans, and insurance policies by individuals and firms across the globe.
read more
FTSE Russell announces results of FTSE Annual Country Classification Review
September 30, 2016--China A-shares remain on Watch List for future inclusion as a Secondary Emerging market
Argentina, Nigeria and Romania join Watch List for possible reclassification
read more
Your Female Clients Might Have More Risk Tolerance Than You Think
September 30, 2016--Today might be the day to stop assuming that women are risk-averse decision makers.
read more
DECPG Global Weekly-September 30, 2016
September 30, 2016--TAKING STOCK
U.S. Q2 GDP growth was revised upward; consumer confidence jumped in September
Euro Area composite PMI fell to its lowest level in 20 months
read more
IMF Launches New SDR Basket Including Chinese Renminbi, Determines New Currency Amounts
September 30, 2016--Today, the International Monetary Fund (IMF) announced the launch of the new Special Drawing Right (SDR) valuation basket including the Chinese renminbi (RMB), and the new currency amounts that will determine the value of the SDR during the new valuation period.
read more
Global investors eye China debt
September 29, 2016--Foreign fund managers plan to double their allocation to renminbi-denominated debt, survey suggests
read more
FTSE Russell: China A shares won't be added to secondary emerging markets index
September 29, 2016--FTSE Russell announced Thursday that China A shares will not yet be included as a secondary emerging market, one of the results of its annual country classification review, a news release said.
read more
Deutsche says hedge fund outflows 'typical' part of prime brokerage business
September 29, 2016--Deutsche Bank told CNBC on Thursday that it has seen outflows, but the prime brokerage business is "still very profitable" for the company.
read more
IMF Working paper-U.S. Monetary Policy Normalization and Global Interest Rates
September 29, 2016--Summary: As the Federal Reserve continues to normalize its monetary policy, this paper studies the impact of U.S. interest rates on rates in other countries. We find a modest but nontrivial pass-through from U.S. to domestic short-term interest rates on average.
read more
IMF-Monetary Policy Not Hurt by Rise of Nonbank Finance
September 29, 2016--Impact of monetary policy actions on economic activity has generally strengthened since 2000
Nonbank credit increases the effectiveness of monetary policy
Risk taking by banks, nonbanks responds to monetary policy
read more
Source research points to attractiveness of EM sovereign bond ETFs
September 29, 2016--European exchange-trade fund provider Source has released research revealing the relatively low indebtedness of emerging market countries compared to their developed peers.
read more
EDHEC-Risk Newsletter September 2016
September 29, 2016--The EDHEC-Risk Newsletter September 2016 is available for viewing.
read more
After Brexit, will a BRICS-it multilateral financial system be next?
September 28, 2016--There is no doubt that the Central Securities Depositories community has evolved through the various partnerships that have been forged over the decades.
read more
WEF-The Global Competitiveness Report 2016-2017
September 28, 2016--The Global Competitiveness Report 2016-2017 assesses the competitiveness landscape of 138 economies, providing insight into the drivers of their productivity and prosperity.
read more
BIS-FAQs on "Supervisory framework for measuring and controlling large exposures" published by the Basel Committee
September 28, 2016--The Basel Committee today issued frequently asked questions on the global supervisory framework for measuring and controlling large exposures.
read more
Optimised Commodities: Delivering Alpha with Lower Volatility
September 28, 2016--Broad commodity prices have recently shown signs of recovery after falling by over 50% between 2011 and 2015.
read more
BNY Mellon's Pershing Survey Finds Baby Boomers Biggest Users of ETFs
More than two-thirds of advisors expect to increase use of ETFs in the next year
September 28, 2016--Despite the commonly held view that exchange traded funds (ETFs) are most popular with younger investors, a new whitepaper from Pershing LLC, a BNY Mellon company, in conjunction with Beacon Strategies LLC, finds that investors between the ages of 51-70 who work with advisors are, in fact, the largest users of ETFs, followed by those over the age of 71.
read more
IMF-How to Adjust to a Large Fall in Commodity Prices
September 28, 2016--How to Notes 16/01 How to Adjust to a Large Fall in Commodity Prices.
read more
DMS-Emerging Markets: Something For Investors To Cheer in Greece
September 27, 2016--When it comes to writing about the politics and economics of Greece, I have a difficult time staying away from my default, sarcasm. But for this article, I decided to try a different tact, one emphasized good news.
read more
OFR-Interconnectedness in the Global Financial Market
September 27, 2016--This working paper shows how network analysis can facilitate the monitoring of movements by stocks in the global financial system over time.
read more
Deutsche Boerse Asia plans sidelined by LSE merger effort
September 27, 2016--Deutsche Boerse's (DB1Gn.DE) expansion plans in Asia have been moved to a side track as the German exchange operator focuses on its $27 billion merger with the London Stock Exchange (LSE.L), three sources familiar with the situation said.
read more
Pension savers 'on cusp of mis-buying crisis'
September 27, 2016--Warning as more over-55s invest in drawdown products without the help of an adviser.
read more
Bis-Financial inclusion: guidance on the regulation and supervision of institutions published by the Basel Committee
September 27, 2016--The Basel Committee on Banking Supervision has today issued final Guidance on the application of the Core Principles for Effective Banking Supervision to the regulation and supervision of institutions relevant to financial inclusion
read more
Water Security as a Top Global Risk-In Search of More Comprehensive Approaches
September 27, 2016--In the 21st century, water availability in many regions can no longer be taken for granted, and water security has emerged as a key catalyst of sustainable development.
read more
Banks struggle to make blockchain fast and secure
September 26, 2016--Technology must be designed differently for financial institutions
Blockchain has become the financial markets' biggest buzzword as banks seek modern ways to resolve old problems.
read more
Carbon pricing efforts are falling short, but even modest collective action can deliver significant progress, OECD says
September 26, 2016--Current carbon prices are falling short of the levels needed to reduce greenhouse gas emissions driving climate change, but even moderate price increases could have a significant impact, according to new OECD research.
read more
Cass paper analyses 'fallen angels' phenomenon
September 26, 2016--The 'fallen angels' phenomenon can offer the opportunity to enhance the returns on a multi-asset portfolio and the potential to improve diversification, according to a research paper from Cass Business School.
read more
DECPG Global Monthly-September 2016
September 26, 2016--Key highlights in the latest issue include:
Global growth remained subdued in 2016Q2, held back by weakening momentum across major advanced economies.
Global goods trade was stagnant in the first half of the year, registering its weakest performance since 2012.
read more
Global Financial Centres Index 20 Septemeber 2016
September 26, 2016--London, New York, Singapore and Hong Kong remain the four leading global financial centres. On a scale of 1,000 points, a lead of fewer than 20 points indicates relative parity.
read more